Allsop posted a strong result at its March residential sale raising £60m and achieving a success rate of 73%. This improves upon the firm's March 2017 residential total of £52m (72%).
Held on March 28th at the InterContinental London Park Lane hotel, Mayfair, residential development opportunities and office blocks with permitted development rights (PDR) achieved good prices. For example, lot 67, Frank Lord House in Luton with PDR for 19 flats raised £1.45m and lot 68, 8-10 Howard Street, Bedford, with PDR for 16 units, achieved £1.61m.
Despite concerns that central London values have cooled, Allsop posted notable successes for higher value stock. Lot 33, a freehold building arranged as eight flats, mainly let, at 50 Warrington Crescent, Maida Vale, W9 sold prior in excess of its guide price of £3.8m+. This was the largest lot sold.
Lot 41, a selection of 11 lots offered by order of the same executor raised a total of £5.48m. All lots were sold. The largest of these was a freehold detached house at 162 Willesden Lane, London NW2 arranged as 10 flats, eight let and two vacant. It achieved £2.1m.
In addition, lot 30, a 1,730 sq ft flat in Abbots Court, Kensington, close to Hyde Park and the Royal Albert Hall and with a regulated tenant in occupation, raised £1.89m.
Gary Murphy, Partner and Auctioneer at Allsop said: “There's much talk of increasing caution in the residential market. But we've drawn some very positive conclusions from this result, as well as from conversations with buyers and sellers in the room. There's no doubt that the market is active and trading enthusiastically.
What's clear is that price sensitivity has heightened. Those opportunities presented at modest guides have gone incredibly well. Lots priced optimistically have drawn limited attention.
Significant sales in the capital have demonstrated that central London stock is still trading. Prices in certain postcodes appear to have undergone their correction and are now a new buying opportunity for domestic and overseas investors".